My loan was switched over about a year ago to Nationstar from CitiMortgage. It is owned by Fannie Mae and my current LTV is about 110% (Loan for 186,000 house worth about 170,000). My loan was originally for 185,000 and a 30 year (100% finance bought house in Feb 08) but due to some unseen hardships and the miscalculation of my escrow account, my payment jumped and I was unable to afford the payments but was able to secure a mod with Citi, which lowered my payment but extended me to 40 years. Nationstar sent me a letter telling me I may be able to requalify for HARP and refinance through them. I ran through the process with them but they said my debt to income ratio was a bit too high and the were unable to do it. Got my hopes up, so I am looking now again to do this and get back to 30 years and lower my rate. I am currently paying 6.25% I have a few questions.
Am I able to find a lender who will work with this for me? My credit is great just a bit of a high debt load.
Am I able to get cash out of any of these? I can manage my debt load, but would sleep much easier at night if I could pay down about 10,000 in credit card debt. It would leave me some more money at the end of the month so I am not scraping the bottom of the barrel and might actually be able to save some money. While I know this isnt im sure the goal of the HARP, If it is possible I would certainly like to be able to utilize it.
One of my biggest expenses in my mortgage is my PMI. Honestly if they were to drop this, i wouldnt even need a refi. I know I should have thought of that before I bought, but I was just trying to buy a home for my family :-( We do not plan to move at all, we love it here. If I could just lower my bills my life would be a whole lot easier....Is there hope?